Ministry of Consumer Affairs, Food & Public Distribution through press release dated 25 August 2021 has published the Fair and Remunerative Price of sugarcane payable by Sugar Mills for sugar season 2021-22. The Fair and Remunerative Price (FRP) of sugarcane for sugar season 2021-22 (October – September) is decided at Rs. 290/- per quintal for a basic recovery rate of 10%, providing a premium of Rs. 2.90/qtl for each 0.1% increase in recovery over and above 10%, & reduction in FRP by Rs. 2.90/qtl for every 0.1% decrease in recovery.
The cost of production of sugarcane for the sugar season 2021-22 is Rs. 155 per quintal. This FRP of Rs. 290 per quintal at a recovery rate of 10% is higher by 87.1% over production cost, thereby giving the farmers a return of much more than 50% over their cost.
The FRP approved shall be applicable for purchase of sugarcane from the farmers in the sugar season 2021-22 (starting w.e.f. 1st October, 2021) by sugar mills.
